Opportunity Information: Apply for 693JJ318NF00011

The Surface Transportation System Funding Alternatives (STSFA) grant opportunity is a U.S. Department of Transportation Federal Highway Administration program created under Section 6020 of the Fixing America's Surface Transportation (FAST) Act of 2015. Its main goal is to help states test and demonstrate user-based revenue options, meaning funding approaches that charge road users in a more direct way than traditional fuel taxes. The bigger policy objective behind these demonstrations is to explore practical alternatives that could support the long-term solvency of the Federal Highway Trust Fund as fuel tax revenues become less reliable over time.

Funding for the STSFA program comes from the Highway Research and Development Program, with the FAST Act setting aside $15 million in FY 2016 and $20 million per year from FY 2017 through FY 2020 for demonstration grants. For this specific solicitation (Funding Opportunity Number 693JJ318NF00011), the opportunity is categorized as a discretionary DOT program using an "Other" funding instrument type, with an award ceiling listed at $20,000,000 and an expectation of about 8 awards. The notice was created on April 13, 2018, and the application deadline for that round was July 15, 2018 at 11:59 PM Eastern.

A key requirement is the cost share structure. STSFA funds are limited to no more than 50 percent of the total proposed project cost, meaning at least half of the project must be paid for with non-Federal funding. The program allows applicants to use other Federal funding sources for parts of deployment if those funds follow their own match rules, but those Federal dollars cannot be counted toward the required STSFA match. In other words, the match that satisfies the STSFA requirement must come from non-Federal sources unless another statute specifically allows otherwise.

Eligibility is limited to states, but the program encourages collaboration by allowing multi-state partnerships for regional or national-scale proposals. Even when multiple states participate, the solicitation requires that a State Department of Transportation serve as the lead agency responsible for administering the funding through the Federal-aid highway program. Day-to-day project management can be handled by another state agency, including an agency from a different participating state, but the state DOT must remain the lead for grant administration.

The program is structured to support demonstrations that are realistic and implementable, not purely conceptual studies. Because alternative user-fee models often require coordination across different parts of state government, the solicitation emphasizes active involvement from all relevant state agencies needed for a full-scale rollout. Examples explicitly mentioned include agencies like the Department of Motor Vehicles and the Department of Revenue, reflecting the expectation that applicants will plan for the operational and administrative realities of collecting and managing user-based fees as part of the demonstration.

  • The Department of Transportation, DOT Federal Highway Administration in the transportation sector is offering a public funding opportunity titled "Surface Transportation System Funding Alternatives" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 20.200.
  • This funding opportunity was created on Apr 13, 2018.
  • Applicants must submit their applications by Jul 15, 2018 07/15/2018 at 1159 PM EST. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • Each selected applicant is eligible to receive up to $20,000,000.00 in funding.
  • The number of recipients for this funding is limited to 8 candidate(s).
  • Eligible applicants include: Others (see text field entitled Additional Information on Eligibility for clarification).
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